AN ACT to revise the north carolina teaching fellows program and to appropriate funds for a study OF participation in the teaching fellows program by the north carolina collaboratory.

The General Assembly of North Carolina enacts:

PART I. INCREASE TEACHING FELLOWS AWARDS

SECTION 1.(a)  G.S. 116‑209.62(g) reads as rewritten:

(g)      Awards of Forgivable Loans. – The Program shall provide forgivable loans to selected students to be used at up to 10 selected institutions for completion of a program leading to initial teacher licensure as follows:

(1)        North Carolina high school seniors. – Forgivable loans of up to five thousand dollars ($5,000) per semester for up to eight semesters.

(2)        Students applying for transfer to a selected educator preparation program at an institution of higher education. – Forgivable loans of up to five thousand dollars ($5,000) per semester for up to six semesters.

(3)        Individuals currently holding a bachelor's degree seeking preparation for teacher licensure. – Forgivable loans of up to five thousand dollars ($5,000) per semester for up to four semesters.

(4)        Students matriculating at institutions of higher education who are changing to an approved program of study at a selected educator preparation program. – Forgivable loans of up to five thousand dollars ($5,000) per semester for up to four semesters.

licensure. For individuals currently holding a bachelor's degree seeking preparation for teacher licensure, the Program shall provide forgivable loans of up to ten thousand dollars ($10,000) per academic year for up to two academic years. For all other students, the Program shall provide forgivable loans of up to ten thousand dollars ($10,000) per academic year for up to four academic years. Forgivable loans may be used for tuition, fees, the cost of books, and expenses related to obtaining licensure.all expenses related to enrollment in an approved educator preparation program and obtaining licensure, including tuition, fees, and the cost of books.

SECTION 1.(b)  This section becomes effective July 1, 2026, and applies beginning in the 2026‑2027 academic year to all students enrolled in an educator preparation program participating in the North Carolina Teaching Fellows Program.

part ii. prior TEACHING FELLOWS PROGRAM REVISIONS APPLY retroactively TO ALL TEACHING FELLOWS

SECTION 2.(a)  Subsection (c) of Section 8A.4 of S.L. 2023‑134 reads as rewritten:

SECTION 8A.4.(c)  This section applies to applications for the award of funds beginning in the 2024‑2025 academic year.year for all persons participating in the Program, including teachers who are continuing or entering service repayment beginning in the 2024‑2025 academic year.

SECTION 2.(b)  Section 2.14(b) of S.L. 2024‑1 reads as rewritten:

SECTION 2.14.(b)  This section is effective July 1, 2023, and applies to applications for the award of funds beginning in the 2024‑2025 academic year.year for all persons participating in the Program, including teachers who are continuing or entering service repayment beginning in the 2024‑2025 academic year.

part iii. revise process for selecting institutional partners

SECTION 3.  G.S. 116‑209.62 reads as rewritten:

§ 116‑209.62.  North Carolina Teaching Fellows Program established; administration.

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(f)        Program Selection Criteria. – The Authority shall administer the Program in cooperation with up to 10 institutions of higher education with approved educator preparation programs selected by the Commission that represent a diverse selection of both postsecondary constituent institutions of The University of North Carolina and private postsecondary institutions operating in the State. The Commission shall adopt stringent standards for selection of the most effective educator preparation programs, including the following:

(1)        Demonstrates high rates of educator effectiveness on value‑added models and teacher evaluations, including using performance‑based, subject‑specific assessment and support systems, such as edTPA or other metrics of evaluating candidate effectiveness that have predictive validity.

(2)        Demonstrates measurable impact of prior graduates on student learning, including impact of graduates teaching in qualifying licensure areas.

(3)        Demonstrates high rates of graduates passing exams required for teacher licensure.

(4)        Provides curricular and co‑curricular enhancements in leadership, facilitates learning for diverse learners, and promotes community engagement, classroom management, and reflection and assessment.

(5)        Requires at least a minor concentration of study in the subject area that the candidate may teach.

(6)        Provides early and frequent internship or practical experiences, including the opportunity for participants to perform practicums in diverse school environments.

(7)        Is approved by the State Board of Education as an educator preparation program.

(8)        For an educator preparation program enrolling loan recipients in a program of study leading to licensure in elementary education (K‑6), provides training that is aligned with the Science of Reading in accordance with G.S. 115C‑269.20. The Commission shall contract with a third‑party entity to biennially evaluate whether a program identified in this subdivision is providing training that is aligned with the Science of Reading.

(f1)      Optional Program Evaluation and Term Renewal. – The Commission may establish a process to regularly evaluate institutions of higher education selected to participate in the Program to ensure that they continue to meet the requirements of subsection (f) of this section. The Commission may, in its discretion, establish term limits for institutions of higher education selected to participate in the Program and requirements for renewal of those terms.

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(j)         Annual Report. – The Commission, in coordination with the Authority, the Department of Public Instruction, and the selected educator education programs participating in the Program shall report no later than January 1, 2019, and annually thereafter, to the Joint Legislative Education Oversight Committee regarding the following:

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(4)        Outcomes from any evaluation process established by the Commission pursuant to subsection (f1) of this section, including any term limits set by the Commission, any renewal process established by the Commission and the parameters of that process, and any institutions that are no longer participating in the Program as a result.

part iv. friday institute to study teaching fellows program participation

SECTION 4.  There is appropriated from the General Fund to Board of Governors of The University of North Carolina the sum of fifty thousand dollars ($50,000) in nonrecurring funds for the 2026‑2027 fiscal year to be allocated to the North Carolina State University for the Friday Institute to study student participation in the North Carolina Teaching Fellows Program, including the reasons some students opt to repay their loans in cash instead of through service. The Friday Institute shall report this information to the Joint Legislative Education Oversight Committee no later than February 15, 2027.

part v. effective date

SECTION 5.  This act becomes effective July 1, 2026. Except as otherwise provided, this act applies beginning with the 2026‑2027 academic year.